• The Dow Jones is taking a breather as bids grapple with 44,000.
• Post-election rally pauses, but with little retracement on the cards.
• US CPI inflation data due Wednesday to drive momentum.

The Dow Jones Industrial Average shed around 300 points on Tuesday, marking out territory near the 44,000 handle as equities take a brief pause from the post-election rally that sent the Dow Jones into fresh record highs. The major equity index surged above 44,000 last week after former President Donald Trump appeared to sweep to a stunning election win, sending investors into a frenzy as they bought whatever they could find.

Now that the Dow Jones is up over 18% in 2024 alone, the post-election glut is taking a pause as investors weigh wether or not equities are encroaching on oversold territory. The DJIA is on pace to chalk in its strongest month since November of last year, when the equity board added nearly 9% in a four-week period. The Dow Jones is now up over 5.5% this November, and one-sided equity traders are taking a breather as US Consumer Price Index (CPI) inflation figures loom around the corner.

US CPI inflation figures for the month of October are slated to release on Wednesday, and markets are expecting a rebound in annualized headline consumer price growth. Full-fat CPI inflation is forecast to tick higher to 2.6% YoY compared to September’s print of 2.4%. Core CPI inflation is expected to hold steady at 3.3% YoY. The monthly figure for both inflation categories are broadly expected to hold flat month-on-month.